Goldman Sachs reversed course on general counsel Kathy Ruemmler's exit, keeping her on as an adviser after her resignation over ties to Jeffrey Epstein. CEO David Solomon requested she remain to advise clients, surprising executives who expected her departure following the disclosure of thousands of emails with Epstein. The bank had previously announced she would leave her role on June 30.

The Epstein emails, exchanged between 2014-2019, revealed close dealings between Ruemmler and the convicted sex offender. While Ruemmler expressed regret about knowing Epstein and claimed ignorance of his crimes, the correspondence showed Epstein arranged gifts including a Hermès bag and Apple products. Solomon had "reluctantly accepted" her resignation after the Justice Department disclosure.

This decision carries significant reputation risk for Goldman, potentially reopening wounds from one of Wall Street's most sensitive scandals. While other Goldman alumni have remained as advisers, Ruemmler's continued association contradicts the bank's initial stance and could damage Solomon's leadership credibility. The move suggests business considerations may outweigh public relations concerns in this particular case.